Armacel Pty Limited v Smurfit Stone Container Corporation [2008] FCA 592

FEDERAL COURT OF AUSTRALIA

Armacel Pty Limited v Smurfit Stone Container Corporation [2008] FCA 592 PRIVATE INTERNATIONAL LAW – Australian company claimed damages against US company for breaches of contract and of the Trade Practices Act 1972 (Cth) – contract provided New South Wales law was applicable law and disputes were to be submitted to the jurisdiction of that State – prima facie case – motion to set aside service outside jurisdiction dismissed – motion for stay of Australian proceedings – US company commenced action for negative declaratory relief in United States Federal Court prior to commencement of Australian proceedings – issue estoppel arising from decision of US Federal Court that jurisdiction clause was non-exclusive – evidence that US Federal Court would have supplementary jurisdiction over trade practices claims – Federal Court of Australia a clearly inappropriate forum in the circumstances – Australian proceedings stayed – application for anti-suit injunction refused Federal Court Act 1976 (Cth) ss 32, 53A Trade Practices Act 1974 (Cth) s 82 Federal Court Rules O 8 r 3, O 9 r 7 and O 72 Adam P Brown Male Fashions Proprietary Limited v Philip Morris Incorporated (1981) 148 CLR 170 referred to Apscore International Pty Ltd v Grand Canyon Technologies Pty Ltd [1996] FCA 1089 referred to Aggeliki Charis Compania Maritima SA v Pagnan SpA ("the Angelic Grace") [1995] 1 Lloyd's Rep 87 referred to Aiton Aust Pty Ltd v Transfield Pty Ltd (1999) 153 FCR 236 referred to Blair v Curran (1939) 62 CLR 464 referred to Booker Industries Proprietary Limited v Wilson Parking (Qld) Proprietary Limited (1982) 149 CLR 600 referred to Bray v F Hoffman-La Roche Ltd (2003) 130 FCR 317referred to Burgundy Royale Investments Pty Ltd v Westpac Banking Corporation (1987) 18 FCR 212 referred to Carl Zeiss Stiftung v Rayner & Keeler Ltd (No 2) [1967] 1 AC 853referred to Castillon v P&O Ports Ltd [2007] QCA 364referred to Century Insurance Limited (In Prov Liq) v NZ Guardian Trust Limited (unreported, FCA, Lee J, 16 May 1996)referred to Challenger Group Holdings Ltd v Concept Equity Pty Ltd [2005] NSWSC 374 referred to Clough v Oil & Natural Gas Corporation Ltd [No 3] [2007] FCA 2082referred to Contractors Ltd v MTE Control Gear Ltd [1964] SASR 47 referred to Desert Sun Loan Corp v Hill [1996] 2 All ER 847referred to Equuscorp Pty Ltd v Glengallan Investments Pty Ltd (2004) 211 ALR 101referred to FAI General Insurance Co Ltd v Ocean Marine Mutual Protection and Indemnity Association (1997) 41 NSWLR 117referred to Fencott v Muller (1983) 152 CLR 570referred to Henry v Henry (1996) 185 CLR 571 applied John Robertson & Co Ltd v Ferguson Transformers Pty Ltd (1973) 129 CLR 65 referred to Johnson Tiles Pty Ltd v Esso Australia Pty Ltd (2000) 104 FCR 564applied Kuligowski v Metrobus (2004) 220 CLR 363referred to Leda Holdings Pty Limited v Oraka Pty Limited (1997) ATPR 41-601 referred to Makhoul v Barnes (1995) 60 FCR 572referred to Messier Dowty Ltd v Sabena SA [2000] 1 Lloyd's Rep 428 referred to Merpro Montassa Limited v Conoco Specialty Products Inc (1991) 28 FCR 387 referred to Pacific Carriers Ltd v BNP Paribas (2004) 218 CLR 451 referred to Poulet Frais Pty Ltd v The Silver Fox Company Pty Ltd [(2005) 220 ALR 211 referred to Prestige Property Services Pty Ltd v Madzoski [2008] WASCA 58 referred to Reinsurance Australia Corporation Ltd v HIH Casualty & General Insurance Ltd (in Liquidation) [2003] FCA 56 distinguished Schnabel v Lui [2002] NSWSC 15 referred to Sohio Supply Co v Gatoil (USA) Inc [1989] 1 Lloyd's Rep 588 applied State of Western Australia v Vetter Trittler Pty Ltd (In Liq) (1991) 30 FCR 102 referred to The Sennar (No 2) [1985] 1 WLR 490 (HL)applied The Sennar (No 2) [1984] 2 Lloyd's Rep 142(AC) applied Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd (2004) 219 CLR 165 referred to Voth v Manildra Flour Mills Proprietary Limited (1990) 171 CLR 538 referred to ARMACEL PTY LIMITED (ACN 070 642 901) v SMURFIT STONE CONTAINER CORPORATION NSD 2193 of 2007